machine hour rate

Hello,

Your question will be very difficult for one person in one country to answer as market forces set the hourly rate for most machine shops in each area of each country.

I can tell you that in the San Francisco Bay area there are a wide variety of shop rates. It depends on, but is not limited to the following:

The skill of the owner and workers. The quality of their workmanship. The spread of machinery that is in the facility. The newness of equipment in the facility even if it is not particular to your needs. The level of computerization allowing electronic files to be downloaded. The Q C department equipment and skill. The type of customer that they attract. Is it a serious CNC shop or a short run prototyping shop?

You must understand the scope of the work that you will be requesting quotes on. You must determine whether a specialist shop will be needed for some part of the work and whether some can be done in a cheaper 'Less specialized shop'. You must control the bidding and ask for bid on the same exact thing from you 3 sources. Now you can compare 'apples to apples', most of all, be fair and moral in your dealings and you will reap the rewards.

For most jobs it will serve you well to always get 3 bids even when you get to a comfort zone with your vendor. Be complacent, ever, and you will be ------. You must deal with shops fairly and if you are using them for bid purposes only, you will soon get 'No Quote' returns and a bad reputation which will last for years.

Down to cost. Here is the plain truth. It is what the market will bear over and above the set material costs. This means in hard times it will be a lower hourly rate. That said, I can get 3 bids on something that I know takes 8 hours to make and Joe has a $50 per hr rate and Johnny has an $80 per hour rate and curiously they bid within $'s of each other. Go figure dawg!

The stated rate of shops we use here ( SF Bay Area) (my own included) and in Detroit and Canada near border of Detroit, for 3D Plastic Injection Mold work is ~ $100 and $65 per hour respectively. Bids are often within a few thousand of each other, so something else is at work here. Where as China Shenzhen area is ~ 30% of our $ 100 per hour price and may be even less now.

I hope this helps. The scope of the question is too wide. Be more specific and you will get better answers. Asking for pricing on specific machining processes is a good way to try to get a handle on pricing. Good Luck

Dear,

for the Indian market, you'll need to get hold of the following information:

• power rates (Rupees/kw-hr);
• labor rates of the operator skill in the machines you have in mind (Rupees/hr for a lathe machine operator, for example;
• overhead rates of your company;
• operating power consumption of each machine.

the simplistic formula will then be:

(power rate x operating power consump'n) + hourly labor rate + hourly overhead rate

Standard machine & operating rates in other parts of the world are not readily available, as these form part of production costs of factories, and therefore, confidential. you will have to obtain these from trade & industry forums (usually purchasd), and even with that, these will not be standards, but simply ballpark figures.

HTH!